Settlement Agreement

Trakm8 Holdings PLC
01 August 2007

1 August 2007

                              TRAKM8 HOLDINGS PLC
                           ("Trakm8" or "the Group")

Trakm8, a leading provider of on-line telematics services, solutions and related
hardware, today announces an update to trading as a consequence of reaching a
settlement agreement with an external supplier of a product component.

On the 2nd April 2007 Trakm8 advised that a technical issue with one of Trakm8's
externally sourced components had affected a limited number of hardware units.
Trakm8 also advised that it had incurred costs and would be making necessary
provisions for the rectification expenditure which would have a detrimental
impact on the financial results for the year ending on 31 March 2007.

Trakm8 is pleased to announce that a settlement agreement has now been signed
with the supplier in question and as a consequence, the financial losses
incurred as a result of this issue have been substantially reduced. The
settlement agreement includes both immediate direct financial re-imbursement to
Trakm8 and future reduced component cost. As a result, the Directors are
confident that the net adverse pre-tax financial impact will not exceed £13,000.
This will be fully expensed in the year ending 31 March 2007. These costs will
be more than offset in the current financial year by the reduced component cost
referred to above.

                                    - Ends -


For further information please contact:

Trakm8 plc                                    0870 380 0531
Cary Knapton, Chief Executive Officer
Tim Couling, Finance Director

Tavistock Communications                      020 7920 3150
Simon Hudson

Arbuthnot Securities                          020 7012 2000
Paul Vanstone


About Trakm8
Trakm8 is a leading provider of on-line telematics services, solutions and
related hardware. The Company provides ASP vehicle monitoring and tracking
services direct to the B2B market. It also distributes its own hardware and
software products worldwide through a network of distributors. Trakm8's products
and services allow vehicle assets to be monitored; allowing organisations to
manage deliveries and services, or track stolen vehicles down to 5 metres.



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